Trustee picked to take control of TelexFREE

Monday

Jun 9, 2014 at 12:01 AMJun 9, 2014 at 8:39 AM

A Boston financial consultant has been appointed by the government to take over management of TelexFREE through the company's bankruptcy, according to court records.Stephen B. Darr, senior managing director of Mesirow Financial Consulting, will serve as the Chapter 11 trustee in the case, after the Department of Justice got the authority from a bankruptcy court judge earlier this week to make the appointment.Chapter 11 trustees are appointed to take control of companies in bankruptcy cases where the existing management has shown evidence of committing fraud or incompetence.elexFREE, which was based in Marlboro, has been accused by the government of running a worldwide pyramid scheme.The company filed for bankruptcy two months ago, claiming it owed hundreds of millions of dollars to creditors.